The Nissan Motor Company

Question: Discuss the case relying on the classical business ethics approaches, including. Answer: Business ethic case In this report, the study of the Nissan motor company ethic case is done. The Nissan motor company has newly released the Datsun Go that does not fulfill the standards of the New Car Assessment Program and NCAP did not give an even one-star rating for the safety (Brunk, 2012). The head of the NCAP, Max Mosley personally asked the CEO of the Nissan motor company, Carlos Ghosn to remove the Datsun Go car from the market and make the necessary design changes before the car come in the market again because its current status is totally unsafe (Brunk, 2012). The structural integrity of the Datsun Go is such as that any type of collision can cause the death of all passengers. In the response of the NCAP head comment the CEO of the Nissan Motor Company said that the Datsun Go car meets the minimum requirements of the local vehicle regulations of the India and the car is developed with the strong intention to provide best solutions to the local condition of the developing countries such as good visibility to durability, best braking solutions, reduced motion sickness and seat comfort all these helps to reduce the potential for the road accidents. In order to save money, Nissan Motor Company designs the car that will be sold in the developing nations to make the maximum profit from them. Most of the car companies offer hard shell and two airbags that will cost only 200 dollars per car to Nissan Motor Company (Toma Marinescu, 2013). In March, NCAP published a report in which urgent action on the safety of the vehicle is demanded and also the NCAP encourage the insurance companies and government to provide incentives and discounts that prefer the safer cars. The feeling of the business threatening pushes the Nissan Motor Company to develop a hard shell and airbags in Datsun Go (Toma Marinescu, 2013). In the above case, The Nissan Motor Company does not consider the deontology ethics that are the ethics of rights and justice, Axiology ethic that are ethics of value and care and teleology ethics that are the ethics of utilitarianism. Deontology: According to the ethic of rights and justice, the customers have the some of the rights and they can demand justice for those rights. In the Nissan Motor Company, the Indian customers have the right to be sold a safe vehicle (Sanada, Inoue, Yamaguchi, Takahashi, 1993). If any other developed country, the Datsun Go acquire a zero rating, then it cannot be sold in India because of how unsafe it is. The ethic of justice is based on the hard working, good quality product, fair practices and good ideas, but the Nissan Company is only making the product that is unsafe to the customers (Vadastreanu, Maier, Maier, 2015). Axiology: according to the ethic of the values and care, the customer should be respected and motivated by the good will. The company should act rationally and support and help in making the rational decisions. The Nissan Motor Company thinks about its own profit and profit of its employees (Sanada, Inoue, Yamaguchi, Takahashi, 1993). But, this does not mean that they are rational in doing that. This motivate is blurred by the greed of the company, the company gives priority to their own needs in spite of the customers need. The Nissan Motor Company does not help the customers to make a rational decision rather than it force the customers to purchase an unsafe vehicle. Teleology: the ethic of the utilitarianism focuses on the both short term and long term plan. In the above case, the company is launched the Datsun Go in the market and sold at an increased rate. This gives short term happiness to both the company and the customers because the vehicle is unsafe. The company has the opportunity to sell a vehicle that gives happiness to the customers or not. The company should apologize for its safe vehicle and return back their vehicle from the market to improve its design. The value based CSRs stakeholder theory. The main stakeholders of the Nissan Company are the Indian customers and customers from the developing countries. These innocent people are buying the unsafe cars that would cause their deaths in case they will get a car accident in the future (Sacconi, n.d.). The second stakeholder is the head of the NCAP because the program run by him is responsible for determining the safety of the vehicle and ensuring that they are suitable for the public or not (Aligica Tarko, 2015). The last one and important stakeholder, in this case, is the CEO of the company because he makes the decision regarding the spending on the safety of the vehicle. In the last, the Nissan Company could not stick to the ethics of the social company. The company should apologize for the same and should return back their vehicles and try to redesign the Datsun Go to make it a safe vehicle. References Aligica, P. Tarko, V. (2015). Polycentric Stakeholder Analysis: Corporate Governance and CSR under Value Heterogeneity.Academy Of Management Proceedings,2015(1), 17539-17539. https://dx.doi.org/10.5465/ambpp.2015.17539abstract Brunk, K. (2012). Un/ethical Company and Brand Perceptions: Conceptualising and Operationalising Consumer Meanings.J Bus Ethics,111(4), 551-565. https://dx.doi.org/10.1007/s10551-012-1339-x Sacconi, L. CSR as Contractarian Model of Multi-Stakeholder Corporate Governance and the Game-Theory of its Implementation.SSRN Electronic Journal. https://dx.doi.org/10.2139/ssrn.1163704 Sanada, Y., Inoue, N., Yamaguchi, H., Takahashi, K. (1993). Automotive hydraulics at Nissan Motor Company.Proceedings Of The JFPS International Symposium On Fluid Power,1993(2), 89-98. https://dx.doi.org/10.5739/isfp.1993.89 Toma, S. Marinescu, P. (2013). Global Strategy: The Case of Nissan Motor Company.Procedia Economics And Finance,6, 418-423. https://dx.doi.org/10.1016/s2212-5671(13)00157-3 Vadastreanu, A., Maier, D., Maier, A. (2015). Is the Success Possible in Compliance with Ethics and Deontology in Business?.Procedia Economics And Finance,26, 1068-1073. https://dx.doi.org/10.1016/s2212-5671(15)00931-4